MONEY: Inflation on the horizon!

Thursday, March 5, 2009

http://www.lewrockwell.com/buchanan/buchanan105.html

Pitchfork Time by Patrick J. Buchanan

*** end quote ***

Where the U.S. government usually consumes 21 percent of gross domestic product, this Obama budget spends 28 percent in 2009 and runs a deficit of $1.75 trillion, or 12.7 percent of GDP. That is four times the largest deficit of George W. Bush and twice as large a share of the economy as any deficit run since World War II.

Add that 28 percent of GDP spent by the U.S. government to the 12 percent spent by states, counties and cities, and government will consume 40 percent of the economy in 2009.

We are not “headed down the road to socialism.” We are there.

Since the budget was released, word has come that the U.S. economy did not shrink by 3.8 percent in the fourth quarter, but 6.2 percent. All the assumptions in Obama’s budget about growth in 2009 and 2010 need to be revised downward, and the deficits revised upward.

Look for the deficit for 2009 to cross $2 trillion.

*** end quote ***

I don’t know about anyone else, but I can’t afford the Obama budget!

# # # # #


POLITICAL: Poor Economy and the Gooferment

Wednesday, March 4, 2009

http://irisheagle.blogspot.com/2009/03/its-not-all-media-hype.html

Wednesday, March 04, 2009

It’s not all media hype

*** begin quote ***

Twice this past weekend I found myself talking to two men – separate conversations – who believe that the “economic crisis” is mostly media hype. “They’ve got to sell papers”, is what one of them told me.

I didn’t know what to say. As someone who’s fairly well convinced that we’re heading down and fast I didn’t know where to start. I simply let each of them say what they had in mind and walked on. I was shocked. I have no idea what these men do for a living, but I hope to God they’re right. I’m sure they’re wrong, but I hope they’re right.

Today the news is full of the “mini-budget” or emergency budget or whatever you want to call it coming at the end of the month. I’m sure there’s a reasonable explanation for waiting a month – having been about 4 months late realizing how bad things are – but it’s lost to me. I can’t understand why they don’t just impose the tax hikes right now. What does the state gain from such a delay?

There’s a small part of me wondering if there isn’t something bigger being planned for the economy than 2c extra on the tax rates.

*** and ***

Comment

It’s bad, there’s no denying that – but there is an element of Chicken Littleism to the media reporting, the herd pack mentality running headlong off the cliff together. The media moves its focus in shifts, and now the hot story of the moment is the sky falling; you have to sift to get the nuance and balance that goes beyond the populist trend. So yeah, I’d agree that we aren’t getting a true picture of what is going on. The media is a populist beast.

Carrie

*** end quote ***

MY RESPONSE:

Well, there is a measure of truth to the “hype” argument. If you extract the financial firms from the indexes, the numbers don’t look absolutely terrible. It’s the options and derivatives that are putting downward pressure on the market. Where everyone of the experts really “stepped in it” imho is the failure to use bankruptcy as “medicine”. If they (the gooferment) had said “Sorry, corporations can use the Chapter 11 or one of the other options.”, then there would have been some immediate pain, but it would have been over. Quick and clean. The gooferment could have properly provided the bankruptcy judge with transitional financing assistance to the debtors taking over.

Bet there would have been a lot more serious consideration of the corporation’s options. After all, hard to be an executive if there’s nothing to be an executive up. THe law and implications are well understood.

AND, the market would have formed of “carrior eaters” who would “feast” on the “bones”. A tranche of mortgages would have gotten a quick proctology exam to determine what was good and what was toxic. Various vultures would have bid on the “remains”. The results would have been well-known.

The real estate bubble would have been popped and, while traumatic, it wouldn’t be in “limbo”. That’s why the Street is reacting badly. Uncertainty.

And the gooferment acts like they could NOT find their own A Double Q in a dark closet with a flashlight. This is like the Great Depression in that the gooferment interference in the marketplace is making the problem worse.

My fear is we are going to have a gooferment induced “Lost Decade” for the next 20 years. Like Japan.

Argh!

reinkefj 03.04.09 – 11:37 am

# # # # #

3 Visitors Online

Name:

Email:

URL:

Comment: ?

Notify me of followup comments via email

Commenting by HaloScan


POLITICAL: Calling the Democratic budget and tax policy “socialistic”? Yes!

Sunday, March 1, 2009

http://pbsmonitor.blogspot.com/2009/03/bankrupt-republicans-call-obama.html

ROBERTO ANTONIO HUSSEIN
A critical look and commentary on the news as found on TV, radio and in the newspapers.

Sunday, March 1, 2009BANKRUPT REPUBLICANS CALL OBAMA DEMOCRATS “SOCIALISTS”
*** begin quote ***

Larry Kudlow, that Republican ideologue on CNBC, calls the Democratic budget and tax policy “socialistic.”

*** end quote ***

As a little L libertarian, I’m not pleased with EITHER “party”. At least the “conservatives” are closer the “truth” of freedom and liberty that the “Rockefeller Republicans” or any “Democrat”. I think that “socialism” is fair criticism from FDR onward. Probably even since 1913 and the various wars of colonizations (i.e., Spanish American and WW1). Unfortunately, we’ve lost the “American Revolutionary Dream” after the “Civil” War. Which more properly should be called the War of Northern Aggression or the Second American Revolution. Stealing the wealth of the productive class to “redistribute” it to the unproductive class is the hallmark of socialism’s promise. Like most gooferment efforts, it fails at that too. Funny how the benefits seem to accrue to the politicians, their friends, the bureaucrats, and the elite. Stuck on their way to the rest of us no doubt. National Socialism, Communism, European Socialism, Italian Fascism, or just Mercantilism. Call it what you want but it is NOT freedom and liberty. When we get back to the American Dream, we can take the plastic garbage off the Statue of Liberty and welcome everyone who want to work hard again. End welfare and all the gooferment intrusions and the people will thrive and provide. There ain’t no such thing as free lunch. No matter what politicians promise you; they can’t deliver it!

# # # # #


RANT: House Democrats propose $410B spending bill

Tuesday, February 24, 2009

http://finance.yahoo.com/news/House-Democrats-propose-410B-apf-14450221.html

House Democrats propose $410B spending bill

House bill to keep govt. running totals $410 billion, features thousands of pet projects

*** begin quote ***

WASHINGTON (AP) — House Democrats unveiled a $410 billion spending bill on Monday to keep the government running through the end of the fiscal year, setting up the second political struggle over federal funds in less than a month with Republicans.

The measure includes thousands of earmarks, the pet projects favored by lawmakers but often criticized by the public in opinion polls. There was no official total of the bill’s earmarks, which accounted for at least $3.8 billion.

*** end quote ***

Has everyone in the District of Corruption lost their mind?

# # # # #


POLITICAL: Eliminate the corporate income tax

Sunday, February 22, 2009

http://www.reason.com/news/show/131556.html  

Economic Change We Can Believe In
To improve the economy, eliminate the corporate income tax
Jeffrey A. Miron | February 6, 2009

*** begin quote ***

President Barack Obama’s stimulus proposal entails an awkward tradeoff between spending and efficiency. Fiscal stimulation suggests large, rapid increases in spending, while efficiency means cautious, modest increases. Similarly, Obama’s plan favors tax cuts for low-income families, since they are most likely to spend rather than save, yet the drive for efficiency means cutting marginal tax rates on high-income consumers.

*** and ***

One policy change, however, can stimulate both the economy in the short-run and enhance efficiency in the long-run: repeal of the corporate income tax, which collects up to 35% of the difference between revenues and costs of incorporated businesses.

*** and ***

Corporate income taxation has other negatives. It requires a complicated set of rules and regulations, over and above the personal income tax system, generating compliance costs. Special interests ensure that corporate tax systems favor specific industries or activities, further distorting private investment decisions. Along those lines, corporation taxation reduces financial transparency, making it harder for investors to monitor corporate behavior.

So repeal of the corporate income tax is good policy independent of the state of the economy and would provide short-run stimulus.

*** end quote ***

Corporations don’t pay taxes; they hide them in the final price of goods sold!

Only people pay taxes!

# # # # #


POLITICAL: Tax increases in a recession?

Sunday, February 22, 2009

http://www.washingtonpost.com/wp-dyn/content/article/2009/02/21/AR2009022100911_pf.html

Obama’s First Budget Seeks To Trim Deficit
Plan Would Cut War Spending, Increase Taxes on the Wealthy
By Lori Montgomery and Ceci Connolly
Washington Post Staff Writers
Sunday, February 22, 2009; A01

*** begin quote ***

President Obama is putting the finishing touches on an ambitious first budget that seeks to cut the federal deficit in half over the next four years, primarily by raising taxes on businesses and the wealthy and by slashing spending on the wars in Iraq and Afghanistan, administration officials said.

*** end quote ***

Companies don’t pay taxes; people do. So raising the corporate tax is essentially a tax increase for everyone; poor included.

Rich folks have the ability to defer income and shit it and even “coast”. Watch how revenues “fail to appear”!

Stupidity!

Ignores the lessons of Kennedy and Regan.

# # # # #


RANT: O versus L? The typical false choice.

Friday, January 30, 2009

http://www.politico.com/news/stories/0109/18194_Page2.html  

Are you with Obama or Rush?
By JONATHAN MARTIN
1/29/09 8:00 PM EST
Updated: 1/30/09 4:37 AM EST

*** begin quote ***

Politico has learned that tomorrow Americans United for Change, a liberal group, will begin airing radio ads in three states Obama won — Ohio, Pennsylvania and Nevada — with a tough question aimed at the GOP senators there: Will you side with Obama or Rush Limbaugh?

“Every Republican member of the House chose to take Rush Limbaugh’s advice,” says the narrator after playing the conservative talk radio giant’s declaration that he hopes Obama “fails.”

“Every Republican voted with Limbaugh — and against creating 4 million new American jobs. We can understand why a extreme partisan like Rush Limbaugh wants President Obama’s Jobs program to fail — but the members of Congress elected to represent the citizens in their districts? That’s another matter. Now the Obama plan goes to the Senate, and the question is: Will our Senator”—here the ad is tailored by state to name George Voinovich in Ohio, Arlen Specter in Pennsylvania, and John Ensign in Nevada—”side with Rush Limbaugh too?”

Asked to respond, Limbaugh had a message for his party.

“Senate Republicans need to understand this is not about me,” he wrote in an email. “It is about them, about intimidating them, especially after the show of unity in House. It is about the 2010 and 2012 elections. This is an opportunity for Republicans to redefine themselves after a few years of wandering aimlessly looking for a ‘brand’ and identity.”

*** and ***

Senate Republicans acknowledge that they’ll lose some of their members on the first vote.

“We’re in a little different spot than the House in that we have a handful of Republicans who have all but committed to supporting the package,” said a Senate GOP aide.

The aide declined to say who, but speculation on both sides of the aisle is centered on a group of northeasterners — Senators Susan Collins and Olympia Snowe of Maine, Sen. Judd Gregg (NH) and Specter.

*** end quote ***

Everyone should be real clear. The “stimulus” bill is not about stimulus, jobs, or benefits for the “folks”.

It’s about socialism, pork spending, and making future voters for the democratic party.

Rahm told you that a crisis is a terrible thing to waste.

We’ve been hustled before — the Bush pre-rebate, the TARP, and now this!

And, the ad offers a false choice — O versus L?

I’m with neither.

The Republican Party NOW, when it’s out of power wants to “brand” itself as the party of smaller gooferment again. Where were they for eight years? We have the TSA, deficits, and out of control spending. All caused by a President who wouldn’t veto anything.

And, O wants to remake America on the basis of he “won” an election. Hey, guess what, more folks didn’t vote than voted. So you were elected by 28% to 24%. That should tell you that your plurality is very small.

More than half the Americans know they are getting screwed no matter which “side” won.

Not that there is much difference between EITHER “side”!

In this case, I am against the “gooferment enlargement” package.

You want to restart the economy. Shrink gooferment — Nuke the TSA, Kill whole gooferment department and agencies, stop the psuedo drug war, pardon all non-violent drug offenders, and return to normal. Cut the corporate tax to ZERO forever. It’s a sham; only real people pay taxes. Corporate taxes hide how much the gooferment is stealing from us.

Argh!

# # # # #


POLITICAL: Lincoln may not have approved of O, but Lincoln wasn’t so great imho

Monday, January 19, 2009

http://www.mcclatchydc.com/338/story/59958.html

Pitts: Lincoln might not have welcomed Obama’s election

*** begin quote ***

Actually, Lincoln likely would have been appalled. How could he not? He was a 19th century white man who famously said in 1858 that “there is a physical difference between the white and black races, which . . . will forever forbid the two races living together upon terms of social and political equality.”

How do you reconcile that with all those cartoons of Lincoln congratulating Obama? You don’t. You simply recognize it for what it is: yet another illustration of how shallow our comprehension of history is, yet another instance where myth supersedes reality.

*** and ***

Of course, Lincoln freed no slaves. That’s the myth. His Emancipation Proclamation was a military measure to demoralize and destabilize the rebellious South; it covered states he did not govern but did not apply in slaveholding states that remained under his jurisdiction.

None of which is to deny or diminish the greatness of the 16th president. His greatness stands unquestioned, unquestionable. We would be a very different nation, a lesser nation, without his political genius, his dogged faith in the unsundered Union, his refusal to accept less than Union, even when haunted by reversals and setbacks that would have broken anyone else.

No, the argument is not about Lincoln’s greatness.

*** end quote ***

But, it should be!

Lincoln is up there on my list of “Worst American Presidents”.

As a corrupt Illinois politician who was in bed with more than the railroads, one has to take not of the following:

(1) The War of Northern Aggression. What you call the Civil War. What some call the Second American Revolution. The is no Constitutional, legal, or moral justification for this war. That alone would rocket him too the top of the list.

(2) Income tax to pay for that war. Government debt too.

(3) Freedom of Press savaged when editors dared to criticism him.

(4) Atrocities against civilian populations like Sherman’s “March to the Sea”.

(5) Single handedly destroying the concept of a Union of Equals amd morphing into the USA as the tyrant state.

And, don’t forget, he want to send all the “Negros” back to Africa. A racist among his other “endearing” qualities.

Those are just my uneducated points. There are much smarted folks than I who can give you “Chapter and Verse” about Lincoln.

But, don’t disturb the sheeple.

One of these days I should codify my “worst list”!

But that’s hard on the old BP.

# # # # #


POLITICAL: the only real way to economically “stimulate”

Monday, January 19, 2009

http://ncc-1776.org/tle2009/tle502-20090118-02.html

Collectivism’s Last Stand
by L. Neil Smith

*** begin quote ***

Politicians must be taught, in no uncertain terms, that the only real way to economically “stimulate” the Productive Class is to stop stealing their fucking money! If the government announced a total tax amnesty, as well as a complete, permanent end to individual and corporate taxes—repealing all unconstitutional economic regulations would help, too—this depression would be over by the end of the week.

*** end quote ***

You have to admire how LNS can “turn a phrase”!

Wonder if it would take all the way to the end of the week?

“Next day” might be a better estimate.

But, we don’t have to worry. It will never occur to the congress critters!

# # # # #


MONEY: Ron Paul on Obama’s “Trillion Deficits for years to come”

Friday, January 16, 2009

http://www.youtube.com/watch?v=HUQo5QQSlys&eurl=http://www.lewrockwell.com/blog/lewrw/archives/024759.html&feature=player_embedded

Guess this is the “change” we were promised?

# # # # #